Good news for those of you nearing retirement or already enjoying your golden years! Hanley Economic Building Society has slashed interest rates on their Retirement Interest-Only (RIO) mortgages, making it easier to access your home’s equity.
What are RIO Mortgages?
RIO mortgages are specifically designed for people in or approaching retirement. They allow you to borrow money against your home, with the interest being paid each month, and the full loan amount repaid when you sell your house or pass away.
Why are These Rates a Big Deal?
Hanley Economic has lowered rates on two of their RIO mortgage options, both with and without the need for a Lasting Power of Attorney (LPA) or Continuing Power of Attorney (CPA).
Here’s a breakdown of the new rates:
- With LPA/CPA: The initial interest rate is now 5.20%, down from 6.04%. This means you’ll be paying less interest on your loan each month.
- Without LPA/CPA: The initial interest rate is now 5.30%, down from 6.54%. This is a significant drop, making borrowing even more affordable.
Benefits of These RIO Mortgages:
- No early repayment charges: You can pay off your loan early without penalty.
- No overpayment restrictions: You can make extra payments to reduce your loan amount without any limits.
- Free valuation: You won’t have to pay for a professional to assess your property’s value.
- No application or arrangement fees: You won’t have to pay any upfront costs.
- £250 cashback: You’ll get a nice bonus for choosing Hanley Economic’s RIO mortgage.
Who are these Mortgages for?
These RIO mortgages are ideal for those wanting to:
- Release equity from their home to support their retirement income, help family, or pay for home improvements.
- Borrow money for a purchase or remortgage with a loan amount between £10,000 and £750,000.
- Avoid credit scoring as Hanley Economic assesses each application individually.
What Does This Mean for You?
These rate cuts show that Hanley Economic is committed to supporting those in retirement, providing access to affordable borrowing options. If you are considering a RIO mortgage, it’s worth checking out these new rates from Hanley Economic.
Get More Information:
You can find out more about these RIO mortgages by visiting the Hanley Economic Building Society website or contacting your local branch.